Rwanda signed a new deal that seeks to develop an 80MW peat power plant to boost the country’s ambitious target of achieving 70% of access to electricity by 2019, ESI Africa reported.  YUMN will build the facility on a build, operate, own and transfer basis over a period of 36 months. Furthermore, the company has signed a 26-year power purchase agreement with the government

The plant is estimated to increase national electricity generation capacity by 40%, while reducing expensive power imports.  The second phase of project has an additional 40MW of capacity. The power plant will be the second in the country when it starts production. The first peat plant is expected to be completed this year with 15MW capacity, informed Reuters.

Late November, YUMN Limited sealed a $350m deal with the project’s financiers. The company was incorporated four years ago by three firms, namely Hakan Madencilik A.S, a Turkish coal trading company, an international power firm, Quantum Power as well as project developer Themis. The project’s backers include the Africa Finance Corporation, Finnfund, PTA Bank, Afrexim Bank, Development Bank of Rwanda, and Exim Bank of India.